Shared homeownership and the pursuit of affordable housing: insights from low-to-medium income earners in Akure, Nigeria

Abstract

The increasing demand for affordable housing has resulted in the growth of shared ownership schemes as an alternative to renting and outright ownership. This study aims to evaluate the shared homeownership scheme’s effectiveness in addressing housing affordability and accessibility challenges for low-to-medium-income earners to inform future sustainable housing strategies tailored to the community’s specific needs. The paper adopted a mixed method using observation checklists, structured interviews, and questionnaires. The research examines three distinct estates developed through partnerships with the National Housing Fund (NHF) and various entities. Structured interviews and questionnaires were also conducted with prospective buyers, current homeowners, developers, and employees of the Federal Mortgage Bank of Nigeria in Akure, Nigeria to comprehensively understand the diverse perspectives and experiences associated with the shared homeownership schemes. While the study revealed that shared homeownership schemes in Nigeria were designed to provide affordable housing for low-to-medium-income earners, they have predominantly benefited high-income earners, thus failing to achieve their intended purpose. Additionally, these schemes are seen as unsustainable due to cost-prohibitive fees, lack of continuity, inadequate funding, low demand for shared homes, and a lack of public awareness. The study concluded that for this scheme to be sustainable, there is an urgent need for profound reforms and increased transparency in their execution.